Home loan book set to cross ₹10 lakh cr next fiscal year on strong demand: SBI chief

New Delhi, Dec 21 (PTI) State Bank of India (SBI), the country’s largest lender, is set to hit a new milestone with its home loan portfolio expected to surpass 2019 ₹10 lakh crore mark in the next fiscal, driven by strong demand and favorable low interest rate regime.

“Today my home loan portfolio ₹9 lakh crore…this is the largest business unit in the bank and accounts for more than 20 per cent of our total assets,” SBI Chairman CS Setty told PTI.

With a growth rate of 14 percent, SBI is on track to achieve a milestone ₹He said there will be a portfolio of 10 lakh crore homes in the next financial year.

SBI’s home loan portfolio passed ₹9 lakh crore mark last month, making it the largest home loan provider in the country.

The bank closed the 25th fiscal year with home loan book. ₹8.31 lakh crore, registering a growth of 14.4 per cent over the previous financial year.

SBI has gradually and steadily built up a home loan portfolio over the years. ₹1 lakh crore milestone in March 2011 ₹9 lakh crore in November 2025.

Additionally, the bank has managed to keep non-performing assets (NPAs) in the segment below 1 per cent due to continuous proactive monitoring. The bank closed FY25 with a gross NPA on home loans of 0.72 percent, one of the lowest in the banking industry.

Setty had earlier expressed optimism that the momentum in the RAM segment would boost overall credit growth by 14 per cent during the current financial year.

The Retail, Agriculture and MSME (RAM) segment, which constitutes 67 percent of the total loan portfolio, has also crossed the same line. ₹25 lakh crore milestone in September.

With the improvement in economic growth, SBI has increased its loan growth target for the ongoing financial year to 14 percent from the previous 12 percent.

“We have increased our guidance on credit growth. We have revised it from 12 percent to 14 percent. We are seeing strong credit growth, especially in the RAM segment, MSME is growing at almost 17-18 percent, while agriculture and retail are around 14 percent,” he said.

He also said that the bank’s gold loan is experiencing good growth, while express loan, which is an unsecured personal loan, will show double-digit growth.